The recall covers 2011 and 2012 Cruze sedans that were built at GM's Lordstown, Ohio plant from September 2010 through May 2012.

The recall affects 413,418 vehicles sold in the United States, 61,299 in Canada and 701 in Israel.

Cruze models sold around the world that were made at plants other than the Lordstown one do not have the same design and are not believed to have the same issue, a GM spokesman said.

But about 10,000 Chevy Cruze sedans sold by GM's Australian unit, Holden, may be affected and Holden is looking into the issue, the GM spokesman said.

The engine shield on the models affected has the potential to trap engine fluids and raise the risk of a fire, GM said.

GM said no crashes or injuries have been reported in relation to the issue.

Owners will begin getting recall notices in mid-July. A fix of the problem will take about a half hour at a Chevrolet dealership, GM said.

(Reporting By Bernie Woodall; Editing by Tim Dobbyn)

• A Permanent Economic Emergency